19-Aug-2011 11:07 AM

Government approves NAD1.6bn bailout for Air Namibia

Namibia’s government approved a NAD1.6 billion (USD222 million) bailout for Air Namibia, however the national carrier has not yet received the funds due to a budget issue (The Namibian, 16-Aug-2011). Cabinet approved the final injection but the Treasury has not yet budgeted the amount, as it only allocated NAD400 million for the company for 2011. Reports suggest the carrier needs to receive NAD700 million in 2011, NAD800 million in 2012, and NAD160 million in 2013. Air Namibia has reportedly begun procuring contracts for the purchasing and leasing of aircraft.